Minister of Planning and Investment Nguyen Chi Dung speaking at the National Assembly meeting. (Photo: quochoi.vn)

Minister of Planning and Investment Nguyen Chi Dung told the National Assembly session on Friday morning:“The specific mechanism aims to capitalize on potentials and strengths, have a synergy effect on the region, and promote self-reliance, dynamism and creativity. It is suitable to budget balance and increases decentralization and autonomy.”

According to the draft resolution, Thua Thien Hue and Nghe An are allowed to borrow with the total outstanding loans of no more than 40% of the provincial budget revenues and Hai Phong city and Thanh Hoa province are allowed to  borrow no more than 60%.

In addition, the budgets of Hai Phong city and Thanh Hoa province are entitled to 100% of the additional revenue as the result of the adjustment of the fee and fee policy. Entrance fees to Thua Thien Hue’s relic sites will be fully diverted into the state budget, but the province will be allocated the corresponding capital to invest in the restoration of a relic.

National Assembly Chairman Vuong Dinh Hue said that if the specific, preferential  mechanisms prove to be successful, they will be replicated nationwide for the shared goal of national development.

A Politburo resolution defines Hai Phong as part of the northern development triangle together with Hanoi and Quang Ninh, which will be developed strongly in terms of growth, budget revenue, infrastructure, and building new rural areas. According to the Politburo's resolution, Thua Thien Hue will become a heritage city run by the central government. Thanh Hoa province is aimed at being part of the northern development quadrangle, with the Nghi Son economic zone being the driving force. Nghe An, the province that has the fourth largest population in Vietnam, will be built into a model new rural area.